Can This Elephant Dance?
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IBM's liberation of its divisions could be a morale booster for the company, especially since the move comes after a streamlining process in which the company reduced its work force by 16,000 jobs, to about 400,000 total. At the same time, some 20,000 workers were transferred, often from cushy staff jobs to more grinding assignments in sales and service. Akers is thus trying to give the company a peppier, more entrepreneurial feeling, even renaming the product groups to give them pizazz not normally seen at IBM. Example: the Information Systems & Storage Group will be rechristened IBM Enterprise Systems. What's more, a new generation of top management is emerging. One notable leader is Ellen Hancock, 44, who in taking over IBM's multibillion- dollar telecommunications division becomes one of the country's most powerful women executives. All told, IBM's adversity is prompting the company to think in untraditional ways. More surprises are no doubt in store. "We're not through," says Akers. "This is far from the end."
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